With Two Newly Appointed Board Members to Leverage the Expertise, Energy and Creativity of Global IT industry

(Hong Kong, 16 March 2001) Diyixian.com Limited, Greater China¡¦s leading IP carrier with a strong and widespread presence in the region¡¦s Internet landscape, today announced that it has completed a HK$100 million-plus financing with institutional investors as part of its region-wide consolidation process, accompanied by the appointment to its board of directors of two globally reputed IT veterans, Chay Kwong Soon, Vice Chairman of KLM Capital Group and John Zhao, President and CEO of Infolio, Inc.

Bucking the recent market pessimism in the global IT sector, this new round of financing, led by premiere venture capital investor KLM Capital Group, and Hong Kong-listed electrical and mechanical engineering specialist Shun Cheong Holdings Ltd, reflects the confidence of institutional investors in the process of stabilisation which Diyixian.com is embarking on across the Greater China market.

Continuing an expansion strategy which saw the establishment of more than 10 high performance Internet Data Centres (IDCs) in Dongguan, Shenzhen, Guangzhou, Beijing, Shanghai, Hong Kong and Taipei since early 2000, the capital commitment includes the establishment of 3 large-sized IDCs in Taiwan¡¦s Hsinchu, Taichung and Kaohsiung and a series of IDCs or Points of Presence (POPs) in the cities of Xiamen, Chongqing, Zhuhai, Zhongshan, Xi¡¦an, Wuhan and Shenyang on Mainland China.

¡§I¡¦m pleased to see that within a short period since our inception in January 2000, our company has once again secured the commitment of institutional investors despite widespread uncertainty in the global IT sector,¡¨ said Lap Man, CEO of Diyixian.com. ¡§Such injection of capital and confidence reflects the solid, differentiated positioning we have developed conscientiously for our services and products over the past year.¡¨

¡§Continuing its strategy of identifying new business opportunities in the Internet age, the investment represents our further commitment to the broadband connectivity market of Greater China,¡¨ said George Kwok, Managing Director of Shun Cheong Holdings. ¡§It is part of our group¡¦s ongoing commitment to in-building broadband infrastructure and state-of-the-art IDC build-out plans in response to exploding regional demand for high-speed, reliable and scaleable multimedia broadcast services and IP solutions.¡¨

Along with the capital injection is the appointment of two renowned IT professionals to Diyixian.com¡¦s board of directors, namely Chay Kwong Soon, Vice Chairman of KLM Capital Group, and John Zhao, President and CEO of infolio, Inc.

Chay has a proven track record in accelerating and managing profitable growth for several multinational companies. Currently Chay, a co-founder of Creative Technology Ltd., also sits on the board of leading peripherals vendor Logitech Inc. and Taiwan-based graphics card producer Leadtek Research Inc. His instrumental role in the global IT arena brings a wealth of industry experience to Diyixian.com¡¦s board, and will help the carrier continue to create competitive differentiation within the Greater China market. ¡§I¡¦m pleased to be a board member of Diyixian.com, a position that demands great expertise and competitive networking in the high velocity economy of Greater China, where new demands from fickle consumers and agile competitors require new thinking, new business approaches and new market strategies,¡¨ said Chay.

Zhao, a widely respected innovator in wireless communications and mobilisation software, will leverage his extensive experience gained in these areas from US Robotics, Shure Brothers and AT&T, to help Diyixian.com accelerate development of new breeds of innovative and intuitive IP solutions for its Greater China customers. ¡§Diyixian.com clearly has tremendous potential with a pipeline of new products well-suited to help network operators and corporate users deliver the full potential of today’s and tomorrow¡¦s IP network services to their end users,¡¨ commented Zhao. ¡§I’m very excited to be on board, and I welcome the opportunity and challenges ahead.¡¨

By differentiating its IP services and networks with more focused investment and expertise, Diyixian.com can expect to accelerate deployment of lucrative advanced IP services over the Greater China market, reduce its operational costs and refocus its resources on more strategic objectives, getting a head start in the race for leadership in this multibillion-dollar market.